Community Health Systems (NYSE:CYH) Posts Quarterly Earnings Results, Misses Expectations By $0.19 EPS

Key Points

• Community Health Systems missed quarterly earnings expectations: EPS was a loss of $0.48 versus the consensus loss of $0.29, while revenue of $2.76 billion came in below estimates of $2.80 billion.
• Shares fell 6.9% to $2.65 during Wednesday trading, near the company’s 52-week low of $2.40.
• Analyst sentiment remains cautious, with a consensus “Reduce” rating and a $2.96 price target. Recent insider activity also included a director selling 40,000 shares.

Community Health Systems (NYSE:CYH - Get Free Report) posted its quarterly earnings data on Wednesday. The company reported ($0.48) EPS for the quarter, missing analysts' consensus estimates of ($0.29) by ($0.19), FiscalAI reports. The company had revenue of $2.76 billion for the quarter, compared to analyst estimates of $2.80 billion. Community Health Systems had a net margin of 2.10% and a negative return on equity of 6.66%.

Community Health Systems Trading Down 6.9%

CYH traded down $0.20 during midday trading on Wednesday, hitting $2.65. The company's stock had a trading volume of 2,076,663 shares, compared to its average volume of 1,574,052. The firm has a market cap of $372.97 million, a P/E ratio of 1.43 and a beta of 1.88. The firm has a 50-day moving average price of $2.90 and a two-hundred day moving average price of $3.05. Community Health Systems has a 52-week low of $2.40 and a 52-week high of $4.33.

Insider Activity at Community Health Systems

In other news, Director William Jennings sold 40,000 shares of the stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $2.96, for a total transaction of $118,400.00. Following the transaction, the director directly owned 38,468 shares in the company, valued at $113,865.28. This represents a 50.98% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. 11.10% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

CYH has been the topic of a number of recent research reports. Truist Financial reduced their target price on shares of Community Health Systems from $3.75 to $3.25 and set a "hold" rating on the stock in a report on Monday, July 27th. Weiss Ratings lowered shares of Community Health Systems from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Wednesday, October 14th. Royal Bank Of Canada reduced their price objective on shares of Community Health Systems from $5.00 to $4.00 and set an "outperform" rating on the stock in a research note on Monday, July 27th. UBS Group decreased their target price on shares of Community Health Systems from $3.20 to $3.00 and set a "neutral" rating on the stock in a research report on Friday, July 24th. Finally, Wall Street Zen cut shares of Community Health Systems from a "hold" rating to a "sell" rating in a research note on Saturday, July 25th. One investment analyst has rated the stock with a Buy rating, four have issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Reduce" and a consensus target price of $2.96.

Community Health Systems Company Profile

Community Health Systems, Inc NYSE: CYH is a healthcare services company that owns, leases, and operates general acute-care hospitals and related healthcare facilities in the United States. The company focuses primarily on serving communities in small cities and non-urban markets, providing access to hospital-based and outpatient care.

Its services generally include emergency care, inpatient and outpatient treatment, surgery, diagnostic imaging, laboratory services, rehabilitation, and other clinical programs.

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